Calculate Your Selling Expenses and Decide on Your Bottom Line Sales Price
Make more money selling your home by using these tips to calculate your bottom line and your final selling price.
Want to make more money when you sell your home? Take the time to calculate your selling expenses and come up with your bottom line for your final sale price. As you think about listing your home for sale in North Carolina, remember you will incur expenses before the sale of your home and at your closing.
What expenses should you plan for when selling your home? Below, we share some common expenses that you will need to take into account when calculating costs. However, it is important to keep in mind that each transaction will be different. Your agent will help you understand your costs and work with you to come up with a fair market value for your home and a bottom line sales price.
Seller Expenses Before the Sale
Getting your home ready to go to market will bring with it quite a few expenses. Before you decide to spend money on home remodeling projects or other market-ready expenses, make sure to consult with your listing agent. Real estate professionals will be able to help you spend your money on items that will bring the biggest ROI and appeal to buyers in a way that will helps your home sell faster.
- Landscaping – What kind of impression do you want buyers to have as they drive up to your home? A small budget set aside for landscape maintenance and adding some colorful flowers can go a long way in creating an excellent first impression.
- Repairs and Remodels – Your listing agent can walk through your home with you to make suggestions on what types of repairs or remodeling projects you should undertake before listing your North Carolina home for sale. Remember, even projects with small costs can bring a high ROI. With that in mind, always speak with your agent to prioritize items and help you stay within your budget.
- Home Staging – Do the advantages of home staging outweigh the costs? In many situations, it makes sense to spend some of your budget on staging your home. If your agent thinks staging will help your home sell faster and closer to your asking price, then the expense of home staging is well worth it.
While the above items do not cover all the expenses you may face before the sale, they are probably the three most common. If your home is vacant, you may also need to take on a higher cost “vacant” insurance policy and incur the costs of utilities as well. Some homeowners also like to pay for a pre-inspection prior to listing their home.
Closing Cost Expenses for Sellers
What closing costs should you expect when you sell your home? Let’s take a look at a few of the costs you should budget for when you sell your home in North Carolina. Seller closing costs are deducted from the proceeds of the sale. Because of that, you need to understand these costs when calculating your selling expenses and deciding on your bottom line selling price. Remember, these costs vary from state to state.
- Real Estate Commissions – Often up to 6% of the sale price, the commission paid for selling your home is negotiable.
- Mortgage Payoff – Don’t forget that you have to pay the balance on any mortgages or liens on the property.
- Taxes and HOA – Seller closing costs also include paying prorated amounts of taxes and HOA fees.
- Tax Stamps – This is a transfer tax paid to the county for the privilege of selling your home.
- Attorney Closing Fee – Payment to the closing attorney.
- Any negotiated Seller Paid Closing Costs – Often as part of the final purchase offer, the seller may pay some of the buyer’s closing costs.
When you spend time sitting down with your listing agent to budget for selling expenses, you can ensure that you have a better chance of receiving the profit you expect from the sale of your home. Homeowners who are ready to sell a home in North Carolina can contact us at Red Door Company to discuss how we can help sell your home at your price on your terms.